Ghana weighs local bids for $1bn revival of Gold Fields' Damang mine
Ghana is assessing three bids from local investors to take over Gold Fields’ Damang gold mine, which requires up to $1 billion of investment to revive, the mining regulator told Reuters, nearly a year after the government seized control of the asset.
Ghana, which is seeking to boost local ownership in its mining sector, rejected Johannesburg-based Gold Fields’ lease‑renewal bid and took control of Damang mine in April, breaking with years of automatic extensions.
Authorities said the move followed the company’s failure to declare verifiable reserves and formed part of a tougher push to ensure gold assets deliver greater value to Ghanaians.
The South African miner was issued a 12-month lease to resume open-pit mining and establish reserves.
Gold Fields, which continues to operate the nearby Tarkwa mine, did not immediately respond to a request for comment.
'UP TO $1-BILLION NEEDED TO REVIVE MINE'
Isaac Tandoh, acting head of the Minerals Commission, Ghana's mining regulator, told Reuters on Monday that Gold Fields' Damang lease, which expires April 18, would not be renewed.
Mining contractors Engineers & Planners (E&P) and BCM International, and consortium Vortex Resources, have applied to own the mine, Tandoh said, and the regulator was assessing which bidder could meet its challenges.
E&P, BCM and Vortex confirmed their bids but declined to comment further.
A source familiar with the bidding process said E&P, Damang's current contractor, was a leading contender, having operated there for about 25 years.
“A decision is expected as soon as possible," Tandoh said, adding that reviving the mine would require "$600 million to $1 billion."
Ghana, Africa's top gold producer, is key to Gold Fields, with output from Tarkwa and Damang underpinning its strong 2025 earnings.
Ghana introduced a sliding‑scale royalty regime this month to capture more revenue from surging commodity prices.
Article Enquiry
Email Article
Save Article
Feedback
To advertise email advertising@creamermedia.co.za or click here
Research Reports
Projects
Latest Multimedia
Latest News
Showroom
Iritron delivers advanced automation, control, and optimisation solutions to the Mining, Minerals & Metals, Consumer Package Goods and...
VISIT SHOWROOM
ZF Aftermarket is the after-sales division of the world-renowned German ZF group, a global leader in mobility technology.
VISIT SHOWROOM
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation
